Industry Analysis & Industry Trends
Revenue for the Aluminum Smelting industry in China has been growing at an average annualized rate of 6.2% between 2011 and 2016 to $89.8 billion. As a basic metal, aluminum has a wide variety of applications within the Building Construction (IBISWorld industry report 4710), Automobile Manufacturing (3721), Power Grid Construction (4725), and packaging material industries. These downstream industries are promoted by China's booming economy and rising urbanization.
With increasing downstream demand for aluminum products over the past three decades, aluminum-related industries developed rapidly, expanding output capacity as product prices appreciate. Alumina output, the major material for primary aluminum, has increased from 3.3 million tons in 1998 to 58.7.... purchase to read more
Industry Report - Starting a New Business Chapter
High start-up costs
Prospective entrants to the industry face high start-up costs, as purchase costs account for a large proportion of industry revenue. The capital requirement is more significant in high-end markets as advanced technologies and production facilities are utilized during manufacturing processes.
Improvements in production techniques have increased the technological barriers for new players within the industry. In recent years, many large aluminum manufacturers have increased their investment in technology and systems, leading to productivity and efficiency improvements... purchase to read more